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Rebecca Nethala5/5
Wonderful app as mentioned before. The entire team ah Cashkumar are very professional and proficient. They are committed to provide the best to their customers. My special appreciation to Swetha she worked closely with me in assisting me with my application. Keep up the excellent work Cashkumar!!! You guys rock... The personnel at Cash Kumar work very closely with the Customers and understand their needs and requirements. From the time of taking my documents to disbursing the amount to me they have kept me updated of every step.

Vijay Kamble5/5
Really appreciated the fantastic work by shweta at cashkumar.
She is too sensibel and cooperative.
Hats off for her customer service.
The way she works is really remarkable. ..
Thank u shweta.
U did more and of course u deserve better
Thnks

N Kisna5/5
Very fast and good experience,when i was in needy applied for loan they done it in 48 hours,good conversation with customers from customer care members as well processing section good jiiii.....Thanks one and all....

Gautham Maramraju5/5
Cashkumar .. This is one of the quickest loan processing companies and they charge lowest rate of interest in the market. Whenever needed if hou pay them regularly they will grant loans.. Top up loans.. Salary loans.. Be prompt to them in repaying is only what we should do and remaining all out financial crisis is taken care by them. They understand their customers personally.

Short Term Loan for Salaried Employees

Short Term Loan Interest Rates start from 11.49%. Go ahead & apply for a short term loan now!

What is a Short Term Loan?

A short term loan can be defined as loan taken for a period of one year or less. These loans usually have greater flexibility of repayment within the stipulated tenure. While most banks offer loans for over 1 year, there are a few banks and NBFCs which are now experimenting with loans for shorter duration. This type of loan is very prevalent via individual lenders, which is primarily unorganised with interest rates of over 100%. However, now via Cashkumar, we have individual lenders offering short term loans or payday loans for shorter duration and affordable interest rates.

Short Term Loan Interest Rates

Interest rates could vary based on the profile of the person as well as the institution/individual from whom the borrower is taking a loan. The typical interest rate for a short duration could be around the 1.5% per month i.e. 18% per annum. However, these rates could go much higher as the borrower does not feel the pinch since it is a small amount. Let us illustrate this by a simple example.

Person A wants to borrow a Rs. 10,000 for a period of 30 days. He is willing to pay around 11,000 at the end of 30 days. The deal looks lucrative, as the borrower gets the money that he needs and is comfortable paying Rs 1000 extra after a month. This however is a 10% interest rate for a month, which is close to a 120% on an annualised basis. This is the interest rate at which some loan transactions happen. This is all getting normalised on our platform as we cap the maximum interest rate to ensure sanity in the system.

Basic Eligibility Criteria for Short Term Loans

This loan is given to both individuals as well as self-employed businesses with different criteria. A salaried individual should be over 23 years, working in a credible company, must have a good credit score as well as fair bank balance.

Salaried individual with minimum income of Rs 20,000. Salary bracket would again depend on the city you live in and the company you work for. Eg. If you are in a Mumbai, the salary requirement will be higher than non-metropolitan city and again if you are working in a top MNC, the salary requirement would be lesser than one working with a startup.

For a business, there needs to be some relationship with the bank or a healthy bank transaction showing regular credits.

Customer Stories on Short Term Loans

Rajesh was working in one of the reputed companies in Bangalore. For his son's graduation, he wanted to gift him a bike which was around 75,000 of which he had 35,000 and needed around 40,000. Rajesh was not keen on applying for a Personal Loan with a bank, as the tenure being offered was a minimum of 1 year. He was looking for a 6 months loan to close it quickly. That is when Rajesh explored an option of a Short Term loan where he got offers right from 1.5% per month to 5% per month. Rajesh was expecting a bonus in the near future and was also keen on an option of pre-closing the loan even before 6 months or choosing a 3 months loan. But with Cashkumar, providing him an option of pre-closure with zero charges, he took a 40,000 loan from a few individual lenders and returned a total of around 43,000 over a span of 6 months. This worked well in his favour as he did not have any obligations and at the same time he fulfilled his son’s desire of getting a bike.

Short Term Loan Interest Rates

Check the Interest Rates and EMIs using Short Term Loan EMI Calculator at different monthly flat interest rates

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Why do you need a Short Term Loan?

As things stand in the Indian financial system, there is a huge need for short term loans as these are not catered to by banks and NBFCs. Short term loans are a separate category with amounts ranging from Rs 10,000 to Rs 2 lakh with tenure between 1 and 12 months. Banks and NBFCs usually have a minimum cap of Rs. 1 lakh while giving a loan which is an impediment for people seeking lower amounts. Some NBFCs advance lower amounts but either the interest rates are too high for the loan tenure fixed. Short term loans or short term finance is especially useful in the following cases where:

Short tenure loan seekers: There are loan seekers with good profiles who might need a small amount for a short period. There is nearly no viable alternative if you wish to avail a Rs. 40,000 loan with the facility to close in 1 or 2 months.

Borrowers with high DBR: There are some urgent needs which suddenly crop up without notice needing a finance option. Banks and NBFCs have strict debt burden norms and might not service a case which is adequately leveraged. So it is difficult to procure credit when faced with an emergency like a medical need or some other obligation.

Company unlisted: The way personal loans work is based on classification of companies based on repute by banks/NBFCs. So employees working for bigger, more reputed companies get loans at lower rates and better conditions. People working in smaller companies might be ignored and left with no options.

Credit novices: This factor combined with the earlier point is a reason for a lot of loan requests getting declined by banks and NBFCs. Many of these institutions do not advance loans to individuals with no credit history or rating. So while an individual might have the ability and intention to pay, he/she might still not get a loan.

Low credit rating: There are instances where mistakes are made by individuals in the past which accumulates into a low credit rating. These individuals might be able and willing to pay back a loan now but are generally side-lined due to their past mistakes.

Benefits of Short Term Peer to Peer Loan?

A personal loan which is short term in nature taken under the peer to peer lending model accrues the benefits of both shorter tenure as also crowdfunded loans. These dual benefits are tailored to the exact requirements of many borrowers across India. Some of the major points which would delight borrowers include:

Financial inclusion: It is estimated that out of a 100 requests that banks receive, on an average only 2-3 end in a disbursal. This means that nearly 97% of loan seekers looking for unsecured credit are being turned away. Short term loans through peer to peer lending helps correct this situation and help legitimate borrowers unable to secure credit.

Quick processing: One upside of applying for a new age peer to peer loan is the use of technology to shorten processing times. With traditional financial institutions, the need for paperwork makes for a laborious process which technology based methods surpass. The documentation is entirely online helping verify and list borrowers quickly resulting in faster disbursals.

Better offers: The fixed policies of financial institutions are a bit too rigid for borrowers looking to close loans quickly. While some banks/NBFCs might provide better terms, the minimum loan amount might be high while others might not offer pre-closure. A short term loan with peer to peer finance provides options even for closure after a month even if the amount is small.

Investment opportunity: Not only can you borrow short term loans through peer to peer lending but in times of plenty one can also invest. Short term peer to peer loans provide an investment opportunity where one can lend amounts as low as Rs. 1000. The risk exposure is for a smaller tenure and lenders can recover as well as reinvest their money quickly at a much better rate of return.

Reserve Bank of India does not accept any responsibility for the correctness of any of the statements or representations made or opinions expressed by Etyacol Technologies Pvt Ltd (Cashkumar), and does not provide any assurance for repayment of the loans lent on it.